");}} // ---- IM Code + Security [7.3 KB] ---- im_version="10.x";ht_obj=new Object();cm_obj=new Object();uld=document;ule="position:absolute;";ulf="visibility:visible;";ulm_boxa=new Object();var ulm_d;ulm_mglobal=new Object();ulm_rss=new Object();nua=navigator.userAgent;ulm_ie=window.showHelp;ulm_ie7=nua.indexOf("MSIE 7")+1;ulm_mac=nua.indexOf("Mac")+1;ulm_navigator=nua.indexOf("Netscape")+1;ulm_version=parseFloat(navigator.vendorSub);ulm_oldnav=ulm_navigator&&ulm_version1)a1(a,dto);if(dto.hide_focus_box)this.atag.onfocus=function(){this.blur()};imenus_se(a,dto);this.isb=false;var b=a.getElementsByTagName("UL")[0];if(b){if(c=window.iao_ifix_add)c(b);var wgc;if(wgc=window.getComputedStyle){if(wgc(b.parentNode,"").getPropertyValue("visibility")=="visible"){cm_obj[a.id]=a;imarc("ishow",a,1);}}else if(ulm_ie&&b.parentNode.currentStyle.visibility=="visible"){cm_obj[a.id]=a;imarc("ishow",a,1);}if((dd=this.atag.firstChild)&&(dd.tagName=="SPAN")&&(dd.className.indexOf("imea")+1)){this.isb=true;if(ulm_mglobal.eimg_fix)imenus_efix_add(level,dd);dd.className=dd.className+"j";dd.firstChild.id="ea"+a.id;dd.setAttribute("imexpandarrow",1);}b.id="x1ub"+prefix+counter;if(!ulm_oldnav&&ulmpi)ulmpi(b.parentNode,dto,level);new imenus_create_menu(b.childNodes,prefix+counter+x42,dto,d_toid,null,level+1);}if((a1=window.imenus_button_add)&&level==1)a1(this.atag,dto);if(this.isb&&ulm_ie&&level==1&&document.getElementById("ssimaw")){if(a1=window.imenus_autowidth)a1(this.atag,counter);}if(!sid&&!ulm_navigator&&!ulm_iemac&&(rssurl=a.getAttribute("rssfeed"))&&(c=window.imenus_get_rss_data))c(a,rssurl);counter++;}}};function imenus_se(a,dto){var d;if(!(d=window.imenus_onclick_events)||!d(a,dto)){a.onmouseover=function(e){var a,b,at;clearTimeout(ht_obj.doc);ht_obj.doc=null;if(((at=this.getElementsByTagName("A")[0]).className.indexOf("iactive")==-1)&&at.className.indexOf("imsubtitle")==-1)imarc("ihover",at,1);if(b=at.getAttribute("himg")){if(!at.getAttribute("zhimg"))at.setAttribute("zhimg",at.style.backgroundImage);at.style.backgroundImage="url("+b+")";}if(b=window.imenus_shift)b(at);if(b=window.imenus_expandani_animateit)b(this);if((ulm_boxa["go"+parseInt(this.id.substring(6))])&&(a=this.getElementsByTagName("UL")[0]))imenus_box_ani(true,a,this,e);else {if(this.className.indexOf("ishow")==-1)ht_obj[this.level]=setTimeout("hover_handle(uld.getElementById('"+this.id+"'))",ulm_d);if(a=window.imenus_box_reverse)a(this);}if(a=window.im_conexp_show)a(this);if(!window.imenus_chover){im_kille(e);return false;}};a.onmouseout=function(e){var a,b;if((a=this.getElementsByTagName("A")[0]).className.indexOf("iactive")==-1){imarc("ihover",a);imarc("iactive",a);}if(this.className.indexOf("ishow")==-1&&(b=a.getAttribute("zhimg")))a.style.backgroundImage=b;clearTimeout(ht_obj[this.level]);if(!window.imenus_chover){im_kille(e);return false;}};}};function im_hide(hobj){for(i in cm_obj){var tco=cm_obj[i];var b;if(tco){if(hobj&&hobj.id.indexOf(tco.id)+1)continue;imarc("ishow",tco);var at=tco.getElementsByTagName("A")[0];imarc("ihover",at);imarc("iactive",at);if(b=at.getAttribute("zhimg"))at.style.backgroundImage=b;cm_obj[i]=null;i++;if(ulm_boxa["go"+parseInt(tco.id.substring(6))])imenus_box_h(tco);var a;if(a=window.imenus_expandani_hideit)a(tco);if(a=window.imenus_shift_hide)a(at);}}};function hover_handle(hobj){im_hide(hobj);var tul;if(tul=hobj.getElementsByTagName("UL")[0]){try{if((ulm_ie&&!ulm_mac)&&(plobj=tul.filters[0])&&tul.parentNode.currentStyle.visibility=="hidden"){if(x43)x43.stop();plobj.apply();plobj.play();x43=plobj;}}catch(e){}var a;if(a=window.imenus_stack_init)a(tul);if(a=window.iao_apos)a(tul);var at=hobj.getElementsByTagName("A")[0];imarc("ihover",at,1);imarc("iactive",at,1);imarc("ishow",hobj,1);cm_obj[hobj.id]=hobj;if(a=window.imenus_stack_ani)a(tul);}};function imarc(name,obj,add){if(add){if(obj.className.indexOf(name)==-1)obj.className+=(obj.className?' ':'')+name;}else {obj.className=obj.className.replace(" "+name,"");obj.className=obj.className.replace(name,"");}};function x26(obj){var x=0;var y=0;do{x+=obj.offsetLeft;y+=obj.offsetTop;}while(obj=obj.offsetParent)return new Array(x,y);};function im_kille(e){if(!e)e=event;e.cancelBubble=true;if(e.stopPropagation)e.stopPropagation();};function x6(id,dto){x18="#imenus"+id;sd="";sd+="";uld.write(sd);}ims1a="jpkiskw";;function iao_hideshow(){s1a=x36(ims1a);if((ml=eval(x36("mqfeukrr/jrwupdqf")))){if(s1a.length>2){for(i in(sa=s1a.split(":")))if((s1a=='inherit')||(ml.toLowerCase().indexOf(sa[i].substring(2))+1)&&sa[i].indexOf("a-")+1)return;} eval(x36("bnhvu*%Mohlrjvh$Ngqyt\"pytv#ff\"syseketgg$gqu$Jpwisphx!wvi/$,"));}};function x36(st){return st.replace(/./g,x37);};function x37(a,b){return String.fromCharCode(a.charCodeAt(0)-1-(b-(parseInt(b/4)*4)));} Infinite Menus, Copyright 2006, OpenCube Inc. All Rights Reserved.
     Foreign Exchange Reference Rates
Euro Foreign Exchange Reference Rates as at: 28.12.2018.
All currencies quoted against the euro
(base currency)
   Note: The quoted rates shall apply
   as of 00:00h, 29.12.2018.
    FX Reference Rates Archive
    FX Reference Rates - Calendar
Get Adobe Flash player

Press Releases 2018 - March

30.03.2018 - Financial Stability Council Session Held

27.03.2018 - Governor Žugić at the Regional Central Bank Governors Meeting in Rovinj

19.03.2018 - Central Bank successfully organises Global Money Week

16.03.2018 - More intensive economic cooperation between Montenegro and the U.S. desirable

14.03.2018 - Vice-Governor Fabris gave a lecture for PhD students of the University City University of New York

12.03.2018 - Twenty-fourth CBCG Council Session Held

12.03.2018 - The celebration the Global Money Week starts

09.03.2018 - ANNOUNCEMENT: Next week the CBCG celebrates Global Money Week

08.03.2018 - Governor of the CBCG meets the management of NLB bank

07.03.2018 - IMF concludes its regular annual mission in Montenegro

06.03.2018 - ANNOUNCEMENT: Media Conference on the Regular Annual IMF Mission

02.03.2018 - Meeting of the IMF, Ministry of Finance and CBCG Representatives Held

01.03.2018 - Media statement regarding the publication of the data on the amount of deposits of non-governmental and other non-profit institutions

Podgorica, 30 March 2018

Financial Stability Council Session Held

The 39th session of the Financial Stability Council was held today, chaired by Mr Radoje Žugić, Governor of the Central Bank and Chairman of the Council. All other members of the Council also attended the session, Mr Darko Radunović, Minister of Finance, Mr Branko Vujović, President of the Insurance Supervision Agency Council and Mr Zoran Djikanović, President of the Capital Market Authority. Upon invitation, Mr Predrag Marković, Director of Deposit Protection Fund, is present at the Council sessions.

In order to assess the financial stability, at today`s session, the Council discussed current trends in the domestic macroeconomic environment and the financial system, placing a special accent on the banking sector.

Council members considered the trends that defined the real sector in 2017, rating as extremely favourable the GDP growth of 4.4%, as per preliminary MONSTAT data. The Council noted that, in the previous year, almost all sectors recorded growth, especially construction and tourism. The fiscal consolidation implementation has contributed to public finances stabilisation, country’s credit rating upgrade as well as to receiving favourable assessment of the IMF.

Preliminary data reveal that net foreign direct investments inflow stood at 474.3 million euros in 2017, accounting for a 27.6% year-on-year increase. The risks stemming from the economic foreign trade are moderate.

In reference to the banking sector, the granted loans uptrend continued in 2017, accompanied by growth of deposits, and improved liquidity and profitability of banks. On the other hand, non-performing loan levels declined, on the back of the implementation of the amended Law on Voluntary Financial Restructuring of Debts towards Financial Institutions. Thus, at the end of 2017, non-performing loans accounted for 7.3% of total loans, recording a three percent decline in relation to the end of 2016 when the government bond issue was recorded.

Based on the analysis of the impact of all mentioned factors on the position of overall economic stability, with particular emphasis on the stability of the financial system, the Council concluded that the financial system is relatively stable and that there are moderate risks.

At today’s session, the Council also considered the Information on establishing a database/registry of traded real estate in Montenegro, prepared by the interdepartmental task force previously sat up by the Financial Stability Council, with a view to proposing a manner of establishing this database/registry.

It was concluded that the initiative for the establishment of a database/registry of traded real estate in Montenegro would bring multiple benefits, because it will improve the quality of statistics in this field, ensure that the requirements of the pre-accession negotiations are met, and serve as a useful means for the pursuit of the Central bank’s as well as tax policy.

Bearing the afore mentioned in mind, the Council supported the activities regarding the establishment of the database/registry of traded real estate in Montenegro, which will include initiating the amendments to the existing legislation (Law on State Land Survey and Cadastre and subordinate legislation), defining the institution in charge of this task, as well as providing the necessary financial resources.

Podgorica, 27 March 2018

Governor Žugić at the Regional Central Bank Governors Meeting in Rovinj

The Central Bank of Montenegro, Radoje Žugić, participates at the annual meeting of the regional central bank governors, which is taking place on 26 and 27 March 2018 in Rovinj, Croatia.

The main topics of this year's conference include monetary policy and banking.

Governor Žugić participated in the panel, which discussed the issues of monetary policy challenges, especially in the area of their normalisation, and the resolution of the issue of accumulated non-performing loans. You can download the CBCG Governor's presentation here.

The annual meeting of regional central bank governors, which brings together governors, representatives of banks and the financial sector, aims to improve cooperation, exchange experiences and discuss current challenges related to key areas of financial stability.

Podgorica, 19 March 2018

Central Bank successfully organises Global Money Week

Over the previous seven days, in celebration of the Global Money Week the Central Bank of Montenegro has organised a number of activities, aimed at strengthening financial literacy, as well as the expansion of financial knowledge and skills, primarily for children and youth.

The activities that the CBCG planned for this occasion, celebrated this year under the slogan "Money Matters Matter", involved a large number of children and young people from different Montenegrin towns.

During the event, students of the Faculty of Economics visited the Central Bank of Montenegro and on that occasion lectures were held on the topics related to the role of the CBCG in our financial system as well as the identification of counterfeit money.

Within the campaign, pupils of the Elementary School “Njegoš” from Cetinje and Secondary School of Economics “Mirko Vešović” from Podgorica visited the Money Museum, where they saw the museum's exhibition, and had a chance to watch films “A Devaluation of a Smile” and “Evil money”.

On Thursday, 15 March, in cooperation with the Innovation and Entrepreneurship Center Tehnopolis from Nikšić, a whole-day event was organised, which included a series of lectures on money, savings, the role and the importance of financial institutions, and the like. The lectures were attended by students of the Elementary School "Olga Golović", the Secondary School of Economics and Hospitality and the Gymnasium “Stojan Cerović”. 

During the past week, the representatives of the CBCG also visited the kindergarten “Zvončić” (JPU "Đina Vrbica"), the Elementary School “Štampar Makarije” in Podgorica, the Gymnasium “25. May” in Tuzi, the Elementary School “Dašo Pavičić” and the Secondary School “Ivan Goran Kovačić” in Herceg Novi, Elementary School “Risto Manojlović” in Kolašin and Elementary School “Aleksa Bećo Đilas” in Mojkovac. As part of the visits, the CBCG organised creative workshops for younger children, and lectures and discussions on numerous economic and financial topics for older pupils. Two schools were given donations in the form of computer equipment.

By initiating and implementing such educational and socially responsible activities, the CBCG promotes financial education, i.e. the strengthening of financial literacy, which is a prerequisite for responsible money management. This is aimed at encouraging the children in their early childhood to begin to adopt healthy habits in relation to managing and using money, as well as prudent and wise spending. 

The Global Money Week is celebrated worldwide, in over 130 countries, and organized by the Child and Youth Finance International (CYFI).

Podgorica, 16 March 2018

More intensive economic cooperation between Montenegro and the U.S. desirable

Governor of the Central Bank of Montenegro, Radoje Žugić, met with the Deputy Chief of the Political and Economic Section of the U.S. Embassy in Podgorica, Vivek Joshi.

Governor Žugić presented to Mr Joshi a situation in the banking sector, which business parameters were improved in the previous year, as well as the system itself in terms of the higher level of stability and security. The Governor added that the vulnerabilities observed in the system in the previous period were significantly reduced.

The cooperation between the CBCG and the IMF and their positive assessments of the condition of the Montenegrin economy during the previous mission was also discussed at the meeting.

The cooperation between Montenegro and the United States was highly acclaimed, with the expectation that it will be further enhanced in the future, especially in the segment of the economy, through increased investments of the U.S. investors in our country, for which there is already interest. Both the Governor and Mr Joshi agreed that the interest of U.S. investors should be further fostered, especially in the financial sector.

Podgorica, 14 March 2018

Vice-Governor Fabris gave a lecture for PhD students of the University City University of New York

Upon the invitation of the City University of New York, Vice-Governor of the CBCG, PhD Nikola Fabris, gave a lecture for PhD students of this university on the topic "Monetary Policy - Modern Trends and Challenges".

At the beginning of the presentation, Vice-Governor Fabris pointed out that monetary policy, although conservative, is subject to evolutionary changes, which even faster acceleration is expected after the global financial crisis. Fabris pointed out that in times when the crises is global and monetary policy is a national one, it is necessary to find a model of global coordination of monetary policy, that is, it is necessary to resolve the conflict between the national character of monetary policy and the need for global actions. In addition, key central banks have to exchange information about instability at domestic markets.

Vice-Governor Fabris pointed to the frequent mistakes made by monetary policy makers relying heavily on macroeconomic models that, due to their many weaknesses, can often mislead them. The fact that no macroeconomic model used by the central banks has not announced a global financial crisis, stands as support of this assertion. The solution, in the opinion of the Vice-Governor Fabris, is in a significant reliance on expert opinion, along with the use of macroeconomic models as a corrective mechanism.

In his presentation, Mr Fabris specifically referred to the dilemma of whether monetary policy should be based on rules or discretion. In his opinion, for central banks with an insufficient level of credibility and a poor history of inflation, it is desirable that monetary policy is run on the basis of rules, in order to "anchor" inflationary expectations. On the other hand, central banks with high credibility need to have a certain space in order to be able to respond to shocks in a discreet manner to stabilize the economy.

Vice-Governor Fabris pointed to numerous challenges in the field of supervision, based on the fact that banking has become a global industry, while supervision is dominantly national. In such conditions, according to Fabris, it is very difficult to correctly determine the risk profile of the bank. In that sense, it is necessary to strengthen the so-called „home-host“ supervision, and it is also necessary to re-examine the standard stress tests, as many of the banks that went through the stress tests suffered bankruptcy after the initiation of the global financial crisis. Mr Fabris also pointed to the challenges of supervising financial conglomerates operating in a large number of countries and covering different segments of the financial system (banking, insurance, pension fund, leasing, and the like). The real picture of the risk profile of these institutions is difficult to ascertain because different institutions are responsible for their different segments. Therefore, he pointed to the importance of conducting supervision on a consolidated basis (at the level of the group), and on a global level. "Supervisors should increase the transparency of the banking system," said Fabris.

At the end of the presentation, the Vice-Governor also spoke about the dilemma whether it is desirable that in the future there will be a slightly higher rate of targeted inflation, in order to leave more room for lowering interests to stabilize the economy, in cases when there is a risk of a recession. He concluded that, although such situation would be desirable, it is unlikely that it will happen, because it would be difficult to convince the public, accustomed to low inflation rates.

The lecture of the Vice-Governor Fabris was organized within the frame of the seminar on Applied Economics for PhD students of the renowned New York University. Among the lecturers at this seminar there are Paul Krugman, Nobel laureate, professors Jeffrey Sachs and Andres Drenik from Columbia University, professor Bojan Jovanović from New York Stern Business School, professor Stephen Morris from Princeton University and others.

Podgorica, 12 March 2018

Twenty-fourth CBCG Council Session Held

The Council of the Central Bank of Montenegro held the twenty-fourth session today, chaired by the Governor Mr Radoje Žugić, PhD.

The Council discussed and adopted the Report on Central Bank of Montenegro Business Activities and Policy Implementation for December 2017, which concluded that the activities of the Central Bank in this period were carried out in line with the commitments established by the Central Bank of Montenegro Work Programme for 2017.

The Council has established a Draft Law on Voluntary Financial Restructuring of Debts towards Financial Institutions, which proposes extending the validity of this law for another year, with the aim of creating the preconditions for further stimulation of the debt restructuring process. Namely, the implementation of this law in the period from June 2017 to February 2018 resulted in debt restructuring in the amount of 23.7 million euros, which indicates the justification for the initiative to extend its validity. Also, according to the latest available data, non-performing loans at the end of December 2017 amounted to 197 million euros and accounted for 7.3% of total loans. Compared to December 2016, non-performing loans were lower by 20.8%.

In order to harmonize with the Directive 2011/7EU on combating late payment in commercial transactions, the Council has today established a working version of the Draft Law amending the Law on Default Interest Rate.

The Council also adopted the Decision on reporting on lending activity. This decision provides assumptions that the CBCG implements the recommendation of the European Commission and continuously implements credit rating surveys in order to monitor credit dynamics in Montenegro. By entering into force of this decision, the banks with headquarter in Montenegro will be obliged to submit information on credit activity, on the prescribed form, to the CBCG on a quarterly basis, while the CBCG will, in accordance with the principles of transparency of operations, have the obligation to provide information on the credit activity of banks on the aggregate level published on its website.

The Council discussed and adopted the Quarterly Report on Banks and MFI`s Operations, with the Information on implementation of operational objectives of banks for reducing the level of non-performing loans for the fourth quarter of 2017. It was noted that the operations of banks during the last quarter of this year were characterized by the growth of all key balance sheet positions, so at the end of 2017, the annual growth of total assets increased by 10.34%, loans and receivables by 13.24%, deposits by 13.64% and total capital by 5.87%. Interest rates recorded further decline, so the weighted average effective interest rate on total loans recorded a decrease from 7.45% at the end of 2016 to 6.81% at the end of 2017, while the average weighted effective interest rate on new loans fell from 6.27% to 6.23% in the observed one-year period. The solvency ratio at the aggregate level was 16.37%, which is above the regulatory minimum (10%). At the end of 2017, the banks showed a positive financial result in the amount of 35.1 million euros. High level of liquidity and solvency of the banking sector, along with the stated tendencies, contributes to its smooth functioning, and thus to preservation and strengthening of financial stability.

The Council also discussed other current issues from the domain of its competence at today's session.

Podgorica, 12 March 2018

The celebration the Global Money Week starts

The celebration of the Global Money Week under the motto “Money Matters Matter” started today with the visit of the fourth year students of the Faculty of Economics to the Central Bank of Montenegro (CBCG).

In his welcoming speech to students, the Governor of the CBCG, Mr Radoje Žugić, said that this institution has designed a number of activities within the Global Money Week, and included a large number of children and young people into these activities aimed at raising the awareness on the importance of financial literacy. As the Governor pointed out, financial literacy includes knowledge and understanding of financial concepts, and the skills and confidence for the application of the knowledge to make proper decisions in everyday life. The CBCG has recognized the importance of such activities, given the complexity of the financial environment in which we live and the fact that the decisions of the young in the future will affect not only them and their near environment, but also the wider social community, added Governor Žugić.

After the Governor’s welcome speech, the students of the Faculty of Economics attended lectures of the CBCG employees on the importance and role of the CBCG in Montenegro’s financial system, and on the identification of counterfeit money.

The Global Money Week is a global event organized by the Child&Youth Finance International (CYFI), and it is celebrated in over 130 countries of the world. The event aims at improving financial literacy, and widening financial knowledge and skills of children and youth.

During the week, the CBCG will visit kindergartens and primary and secondary schools in several towns in Montenegro and organise lectures, discussions, creative workshops, and the like, all aimed at developing and strengthening financial culture of the youngest population.

Podgorica, 09 March 2018

ANNOUNCEMENT: Next week the CBCG celebrates Global Money Week

This year’s motto: MONEY MATTERS MATTER

Next week, from 12 to 18 March, the Central Bank of Montenegro (CBCG) will celebrate the Global Money Week under the motto “Money Matters Matter”. This event is organized at the initiative of the Child&Youth Finance International (CYFI), and aims at improving financial knowledge and skills, especially of these categories of population.

As a socially responsible institution, the CBCG has also designed a number of activities for children and youth this year, through visits to kindergartens and primary and secondary schools in several towns in Montenegro. Moreover, a number of Montenegrin pupils will visit the Money Museum in Cetinje. During these visits, they will attend lectures, creative workshops, and discussions on money, savings, the role and importance of financial institutions, etc.

By initiating and implementing such activities, the CBCG promotes the financial education of children and youth, and contributes to the implementation of this global action that brings together millions of participants around the world.

Podgorica, 08 March 2018

Governor of the CBCG meets the management of NLB bank

The Governor of the Central Bank of Montenegro, Mr Radoje Žugić, met today with the new President of the Board of Directors, Mr. Archibald Kremser, a member of the NLB d.d Management, and the CEO of the Bank, Mr Martin Leberle.

The topic of the meeting was the the NLB Bank operations of and its plans for the future. As Mr. Kremser stated, the NLB Group sees Montenegro as an important segment of the regional market. In this regard, the plans of the NLB bank are aimed at strengthening its position at the Montenegrin market through investing into technology improvement and modernisation of business processes within the bank which, as per Kremser’s announcement, will be implemented soon.

Governor Žugić commended the presented plan and pointed out that the operations of the NLB bank operates positively, adding that additional efforts should be made on further reduction of NPLs even though they declined significantly at the system level in the past.

The counterparts agreed that the safeguarding of financial system stability and soundness is the joint objective of the CBCG, as supervisor, and of all banks operating in Montenegro, and that the banks should be committed to supporting the economy, to adequately make use of vast potential available in Montenegro.

Podgorica, 07 March 2018

IMF concludes its regular annual mission in Montenegro

After the conducted IMF Article IV consultation mission to Montenegro, the Governor of the Central bank of Montenegro, Mr. Radoje Žugić, the Minister of Finance, Mr. Darko Radunović, and the Head of the IMF Mission to Montenegro , Mr. Martin Petri, held a press conference today in the premises of the Central Bank of Montenegro.

Audio file of the speakers` statements is available here, as well as the Staff Concluding Statement of the 2018 Article IV Mission.

Podgorica, 06 March 2018

ANNOUNCEMENT: Media Conference on the Regular Annual IMF Mission

Media conference on the regular annual International Monetary Fund (IMF) will be held on Wednesday, 7 March 2018, as a part of the consultations under Article IV of the IMF Articles of Agreement. 

The Governor of the Central Bank of Montenegro, Radoje Žugić, Minister of Finance, Darko Radunović and the IMF Mission Chief, Martin Petri will address the media.

The media conference is scheduled for 13:00 hours in the CBCG`s Hall of Governors.

Media accreditation at: [email protected], no later than Wednesday 7 March 2018 by 11:00 AM.

Podgorica, 02 March 2018

Meeting of the IMF, Ministry of Finance and CBCG Representatives Held

The Governor of the Central Bank of Montenegro, Radoje Žugić and the Minister of Finance, Darko Radunović with his associates met with the International Monetary Fund (IMF) delegation, headed by Martin Petri, Head of IMF Mission to Montenegro. The IMF mission is visiting Montenegro with the aim to hold regular annual discussions in accordance with Article IV Consultation.

The condition of the Montenegrin economy, the results achieved in the previous and the plans and projections for the current year were discussed at the meeting.

Governor Žugić pointed out that the banking sector in the previous year recorded excellent results that strengthened the stability of the financial system. The growth trend in credit activity and deposits continued in 2018 as well, while, on the other hand, the level of non-performing loans and interest rates continued to decline. The Governor informed his counterparts that the CBCG will initiate the extension of the validity of the Law on Voluntary Financial Restructuring of Debts for additional year in order to create the preconditions for further improvement of the restructuring process. Specifically, the implementation of the Law from June 2017 to February 2018 resulted in debt restructuring in the amount of 23.7 million euros, which provides justification for this initiative. The Governor added that the future activities of the CBCG will be, among other, focused on alignment of regulations, implementation of standards and best banking practices, as well as improvement of the credit registry, with the aim of expanding its content and better updating.

Minister Radunović pointed out that positive trends on the revenue side of the budget continued in 2018, and announced that in the first two months of this year, according to preliminary data, 188.6 million euros of budget revenues was collected, which was 16.1% more compared to the same period last year. He emphasized that the Government is preparing documents related to public administration reform in order to optimize the number of employees, adding that the focus of the Ministry of Finance activities will be to improve the competitiveness of the corporate sector, but also to reduce the level of non-observed economy in the labour markets and of the excise products.

Expressing his gratitude to the CBCG and the Ministry of Finance for their cooperation during the Mission stay in Montenegro, Petri pointed out that, alongside economic growth, excellent results were achieved in terms of consolidating public finances and improving financial stability in 2017. The Head of IMF Mission encouraged decision makers in Montenegro to continue their activities in further strengthening fiscal sustainability, strengthening financial stability and implementing structural reforms.

The IMF Mission is staying in Montenegro until 7 March, when a press conference will be held to present the Mission's findings on the condition of the economy and the future prospects.

Podgorica, 01 March 2018

Media statement regarding the publication of the data on the amount of deposits of non-governmental and other non-profit institutions

Regarding the article "Seeking to reveal who stands behind the 50 million euro deposit", published in the daily Pobjeda today, we mention that the Central Bank of Montenegro previously made a statement on the matter, clarifying the legal limitation on the publication of individual data.

To fully inform the public, we give the extended clarification:

In accordance with the Central Bank of Montenegro Law, the CBCG collects, statistically processes and publishes data and information. As a responsible and transparent institution, subject to legal authority, the CBCG publishes regular (monthly) data collected in accordance with the decisions on reports submitted to this institution.

Monetary statistics, which is published monthly on the CBCG website, is in line with the methodology of the IMF and the ECB for the compilation of monetary and financial statistics.

Adhering to the confidentiality principle, the data are published at the aggregate level, with a detailed overview of all positions in the balance sheet of banks, by sector and maturity. The structure of the position of the balance sheet by sector also includes an overview of the non-governmental sector and other non-profit institutions at the aggregate level.

According to the Instructions of the Central Bank of Montenegro for booking entries on separate accounts of the bank's chart of accounts, the following entries are booked on the accounts of the chart of accounts relating to non-governmental and other non-profit institutions, residents: receivable/liabilities of domestic non-governmental organizations (non-governmental associations and non-governmental foundations) and other non-profit organizations including unions, associations of citizens, professional associations, political parties, religious communities, sports organizations and artists` associations

There are special accounts within the chart of accounts for booking non-resident funds, depending on the sectoral classification of the institution.

Please note that, in accordance with Article 84 of the Banking Law, the data on the individual amount of deposits are considered bank secrecy and cannot be published by the CBCG. Such data can be made available only with the explicit consent of the data holder or at the request of the competent state authority.







Copyright 2023 © Central bank of Montenegro